Deed in Lieu
Don’t want to pursue a short sale or forbearance agreement?
Luckily, there are other options.
What Is Deed In Lieu
One option is to consider a deed in lieu of foreclosure, in which you would relinquish the property to the lender in efforts to satisfy the defaulted loan. In a deed in lieu, you sign over the deed of the property to the lender, thereby making the lender the owner of the property and title holder.
After a deed in lieu of foreclosure proceeding, the you are no longer responsible for the loan. However, if the property is sold by the lender and there is a deficit in the remaining balance owed, the lender may require you to pay the remaining balance.
The deed in lieu of foreclosure proceeding stops the foreclosure process and prevent the home from being foreclosed without the willingness of the borrower. Completing a deed in lieu of foreclosure proceeding can have less impact on your credit than a foreclosure.
Deed in Lieu Qualifications
A deed in lieu of foreclosure can be arranged if the one or more of the following conditions is met: (a) the property is under threat of foreclosure, and you do not have the means to save the property, (b) you are unable to sell the property in efforts to satisfy the debts to the lender, as in the case of the loan amount exceeding the current value of the property.
Is This A Good Option For Me?
The Lee Law Firm is happy to work with you to help review your options. Our attorneys specialize in mortgage modification and helping people just like you find relief from their mortgage problems!